In September, Indian automobile retail sales experienced a substantial surge, rising by 20% compared to the same period the previous year, reaching 1.89 million units. Data provided by the Federation of Automobile Dealers’ Associations (FADA) attributes this increase to a positive market sentiment boosted by favorable monsoon conditions.
The sales of various automobile categories witnessed significant growth, except for tractors, which experienced a 10% decline. Notably, two-wheelers saw a remarkable 22% increase, three-wheelers surged by 49%, passenger vehicles maintained a steady 19% growth, and commercial vehicles rose by 5%. Three-wheeler sales hit an all-time high of 102,426 units in September, surpassing the previous record set in August 2023.
The two-wheeler market displayed growth, increasing from 1.08 million units in 2017 to 1.31 million units this year. Moreover, the commercial vehicle segments, particularly in coal, cement, and general market load sectors, experienced notable demand in September 2023. The passenger carrier market also witnessed improvements, partly attributed to government investments in infrastructure development, facilitating bulk deals in tippers and government sectors. Commercial vehicle sales rose from 77,054 units last year to 80,804 units this year.
According to Mr. Manish Raj Singhania, President of FADA, September’s auto retail demonstrated a 20% year-on-year increase, carrying forward the momentum from the previous month and marking a 3.5% month-on-month growth. He noted that the demand was further fueled by the introduction of new models and attractive promotional offers, especially in rural areas, leading to increased customer walk-ins and a positive market response.
The market benefited from enhanced vehicle availability and the introduction of new and updated models from various original equipment manufacturers (OEMs), revitalizing the passenger vehicle (PV) segment. This was facilitated by improved supplies and a wider product range to meet diverse consumer demands, resulting in a rise in sales from 279,137 units in September 2022 to 332,248 units.
